Oravel Stays Ltd, the parent company of OYO, has successfully raised Rs.1,457 crore in a significant funding round as it prepares for its much-anticipated initial Public Offering (IPO).
The recent infusion of capital followed an earlier raise of Rs.416.85 crore within the same series, thereby concluding the Series G round with a total of Rs.1,457 crore.
The Compulsory Convertible Cumulative Preference Share (CCCPS) each priced at Rs.29, consistent with the valuation established during this series.
The funding round saw participation from a diverse group of investors, including InCred Wealth, J&A Partners, ASK Financial Holdings, and Patient Capital Investments Pte Ltd.
InCred Wealth will receive 2,62,84,483 share, translating to an investment of approximately to an investment of approximately Rs 76 crore. This is an addition to the Rs 416.85 crore that InCed recently invested. Notable, serial investor Ashish Kacholio is also part of the InCred consortium, further boosting the credibility of the investment.
InCred Wealth led the most recent fundraise, and their involvement, alongside other key players, underscores the confidence in OYO’s growth trajectory as it eyes its IPO.
Patient Capital Investments Pts Ltd, which emerged as the largest investor in this round, is infusing Rs.830 crore into the company and will receive 28,62,06,897 shares. J&A Partners, the family office of Mankind Pharma promoters, is investing Rs.120 crore in exchange for 4,13,79,310 shares. ASK Financial Holdings is contributing Rs.14 crore, resulting in the issuance of 48, 27,586 shares to the firm.
In addition to the financial developments, Sumer Juneja, Managing Partner and Head of EMEA & India at SoftBank Investment Advisors, has been appointed as a Non-Executive Director on Oravel’s Board.
As OYO moves closer to its IPO, the company’s ability to attract substantial investments in its pre-IPO rounds reflects the market’s confidence in its long-term potential. The fresh capital is expected to bolster OYO’s expansion efforts and strengthen its position in the competitive hospitality sector.